Ford announced that it will stop selling most of its cars in the U.S. by 2019.
This plan excludes the Mustang and upcoming Focus Active, which both sell well. Crossovers, SUVs and trucks will make up the rest of its portfolio. The news was revealed in Ford’s latest quarterly financial release.
The Focus, Fiesta, and Taurus will be the first to go. Ford will end production for the Focus in May 2018, the Fiesta in May 2019, and the Taurus in March 2019. The Fusion will stick around a bit longer.
Ford’s started implementing a cost reduction plan late 2017. The plan called for Ford to cut operating costs by $14 billion. The discontinuing of sedans and small cars will save Ford around $5 billion.
“We’re going to feed the healthy parts of our business and deal decisively with the areas that destroy value,” Ford’s CEO, James Hackett said. “It’s been easy to identify what’s wrong and what we need to do about it. The hand-wringing maybe that has been around in our business is gone. We’re starting to understand what we need to do and making clear decisions there.”